Neomercantilism
Neomercantilism is a government policy that supports more exports, less imports, and more control over investment (capital movement). Also, the government has the power to make decisions involving money (currency).[1] The goal is to increase foreign reserves, which gives the government more power over money.
Origin[change | change source]
The idea comes from Keynesian economics. According to UNESCO, mercantilism is the belief that the state's wealth must be protected by the government. This makes the state's money a nationalistic concern.[2]
References[change | change source]
- ↑ Guerrieri, Paolo; Padoan, Pier Carlo (1986). "Neomercantilism and International Economic Stability". International Organization. 40 (1): 29–42. doi:10.1017/S002081830000446X. ISSN 0020-8183. JSTOR 2706741. S2CID 154785573.
- ↑ Hettne, Björn (1993). Magnusson, Lars (ed.). Mercantilist Economics. Recent Economic Thought Series. Dordrecht: Springer Netherlands. pp. 235–255. doi:10.1007/978-94-011-1408-0_10. ISBN 9789401114080.